I've always been curious about how everyone who runs a small company handles the financial side of the operation. Is there some ruling on if you don't make X amount of dollars a year then it's okay to slide by unnoticed? Do you have a tax ID for your company and treat it as a real business entity? I'm in the process of figuring out how to do this myself and I'm looking for the different routes people have taken. Thanks.

they will come after you. a good accountant is a real life magician. keep records and receipts. find a quality accountant. even if the accountant seems pricey, you will save money in the end. many small business owners have been hammered by back taxes and audits. it's no fun.

Also, in the US some counties require a tax ID and some don't. The counties I live and work in do not. There are basic service industry businesses like car detailing that can probably get away with not reporting or paying anything even when they make good money for years. It is always a risk and a headache for the proprietor though.